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WABCO Holdings (WABCO Holdings) Inventory-to-Revenue : 0.44 (As of Mar. 2020)


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What is WABCO Holdings Inventory-to-Revenue?

Inventory-to-Revenue determines the ability of a company to manage their inventory levels. It measures the percentage of Inventories the company currently has on hand to support the current amount of Revenue. WABCO Holdings's Average Total Inventories for the quarter that ended in Mar. 2020 was $327 Mil. WABCO Holdings's Revenue for the three months ended in Mar. 2020 was $746 Mil. WABCO Holdings's Inventory-to-Revenue for the quarter that ended in Mar. 2020 was 0.44.

WABCO Holdings's Inventory-to-Revenue for the quarter that ended in Mar. 2020 increased from Dec. 2019 (0.41) to Dec. 2019 (0.44)

An increase in Inventory-to-Revenue from one quarter to the next indicates that one of the following is happening:

1. investment in inventory is growing more rapidly than revenue
2. revenue are dropping
No matter which situation is causing the problem, an increase in the Inventory-to-Revenue may signal an oncoming cash flow problem.

Days Inventory indicates the number of days of goods in sales that a company has in the inventory. WABCO Holdings's Days Inventory for the three months ended in Mar. 2020 was 55.93.

Inventory Turnover measures how fast the company turns over its inventory within a year. WABCO Holdings's Inventory Turnover for the quarter that ended in Mar. 2020 was 1.63.


WABCO Holdings Inventory-to-Revenue Historical Data

The historical data trend for WABCO Holdings's Inventory-to-Revenue can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

WABCO Holdings Inventory-to-Revenue Chart

WABCO Holdings Annual Data
Trend Dec10 Dec11 Dec12 Dec13 Dec14 Dec15 Dec16 Dec17 Dec18 Dec19
Inventory-to-Revenue
Get a 7-Day Free Trial Premium Member Only Premium Member Only 0.08 0.08 0.08 0.08 0.09

WABCO Holdings Quarterly Data
Jun15 Sep15 Dec15 Mar16 Jun16 Sep16 Dec16 Mar17 Jun17 Sep17 Dec17 Mar18 Jun18 Sep18 Dec18 Mar19 Jun19 Sep19 Dec19 Mar20
Inventory-to-Revenue Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 0.36 0.37 0.41 0.41 0.44

Competitive Comparison of WABCO Holdings's Inventory-to-Revenue

For the Auto Parts subindustry, WABCO Holdings's Inventory-to-Revenue, along with its competitors' market caps and Inventory-to-Revenue data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


WABCO Holdings's Inventory-to-Revenue Distribution in the Vehicles & Parts Industry

For the Vehicles & Parts industry and Consumer Cyclical sector, WABCO Holdings's Inventory-to-Revenue distribution charts can be found below:

* The bar in red indicates where WABCO Holdings's Inventory-to-Revenue falls into.



WABCO Holdings Inventory-to-Revenue Calculation

Inventory-to-Revenue determines the ability of a company to manage their inventory levels. It measures the percentage of Inventories the company currently has on hand to support the current amount of Revenue.

WABCO Holdings's Inventory-to-Revenue for the fiscal year that ended in Dec. 2019 is calculated as

Inventory-to-Revenue (A: Dec. 2019 )
=Average Total Inventories / Revenue
=( (Total Inventories (A: Dec. 2018 ) + Total Inventories (A: Dec. 2019 )) / count ) / Revenue (A: Dec. 2019 )
=( (319.1 + 292.9) / 2 ) / 3421.4
=306 / 3421.4
=0.09

WABCO Holdings's Inventory-to-Revenue for the quarter that ended in Mar. 2020 is calculated as

Inventory-to-Revenue (Q: Mar. 2020 )
=Average Total Inventories / Revenue
=( (Total Inventories (Q: Dec. 2019 ) + Total Inventories (Q: Mar. 2020 )) / count ) / Revenue (Q: Mar. 2020 )
=( (292.9 + 361.5) / 2 ) / 745.7
=327.2 / 745.7
=0.44

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


WABCO Holdings  (NYSE:WBC) Inventory-to-Revenue Explanation

An increase in Inventory-to-Revenue from one quarter to the next indicates that one of the following is happening:

1. investment in inventory is growing more rapidly than revenue
2. revenue are dropping
No matter which situation is causing the problem, an increase in the Inventory-to-Revenue may signal an oncoming cash flow problem.

Likewise, a decrease in the Inventory-to-Revenue from one quarter to next indicates that one of these is occurring:

1. investment in inventory is shrinking in relation to revenue
2. revenue are increasing
No matter which situation is causing the reduction in the Inventory-to-Revenue, either one suggests that business's inventory levels and its cash flow are effectively managed.

More Related Terms:

1. Days Inventory indicates the number of days of goods in sales that a company has in the inventory.

WABCO Holdings's Days Inventory for the three months ended in Mar. 2020 is calculated as:

Days Inventory=Average Total Inventories (Q: Mar. 2020 )/Cost of Goods Sold (Q: Mar. 2020 )*Days in Period
=327.2/533.8*365 / 4
=55.93

2. Inventory Turnover measures how fast the company turns over its inventory within a year.

WABCO Holdings's Inventory Turnover for the quarter that ended in Mar. 2020 is calculated as

Inventory Turnover=Cost of Goods Sold (Q: Mar. 2020 ) / Average Total Inventories (Q: Mar. 2020 )
=533.8 / 327.2
=1.63

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


WABCO Holdings Inventory-to-Revenue Related Terms

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WABCO Holdings (WABCO Holdings) Business Description

Traded in Other Exchanges
N/A
Address
1220 Pacific Drive, Auburn Hills, MI, USA, 48326-3511
WABCO Holdings Inc is a producer of car and truck safety and efficiency technologies. The product lineup includes driver assistance systems, brake and stability control systems, brake chambers, suspensions, emission control systems, and fleet management systems. The products are developed for cars, busses, trailers, trucks, and utility vehicles. The majority of revenue is generated in Germany and the United States of America.
Executives
Michael T Smith director 190 NW SPANISH RIVER BOULEVARD, SUITE 101, BOCA RATON FL 33431
Sean Deason officer: CFO and Controller C/O WABCO HOLDINGS INC., 2770 RESEARCH DRIVE, ROCHESTER HILLS MI 48309
Thomas Gross director DANAHER CORP, 2099 PENNSYLVANIA AVE NW 12TH FL, WASHINGTON DC 20006
G Peter Daloia director
Henry R. Keizer director MONTPELIER HOUSE, 94 PITTS BAY ROAD, PEMBROKE D0 HM 08
David Nicholas Reilly director 300 RENAISSANCE CENTER, M/C: 482-C32-C66, DETROIT MI 48265-3000
Jacques Esculier officer: CHIEF EXECUTIVE OFFICER C/O AMERICAN STANDARD COMPANIES INC, ONE CENTENNIAL AVENUE, PISCATAWAY NJ 08855
Montupet Jean Paul L director PARTNERRE LTD, WELLESLEY HOUSE 90 PITTS BAY RD, PEMBROKE BERMUDA D0 HM 08
Mary L Petrovich director
Prashanth Mahendra-rajah officer: Chief Financial Officer C/O WABCO HOLDINGS INC., ONE CENTENNIAL AVENUE, PISCATAWAY NJ 08855
Nikhil M Varty officer: President, Americas & VP, M&A CHAUSEE DE WAVRE, 1789 CARE OF WABCO VEHICLE CONTROL SYSTEMS BRUSSELS C9 1160
Donald J Stebbins director C/O WABCO HOLDINGS INC., ONE CENTENNIAL AVENUE, PISCATAWAY NJ 08855
John F Fiedler director 200 SOUTH MICHIGAN AVE, CHICAGO IL 60604
Ulrich Michel officer: Senior Vice President and CFO CHAUSEE DE WAVRE, 1789, CARE OF WABCO HOLDINGS INC, BRUSSELS C9 1160
Christopher Anthony Harrison officer: Chief Human Resources Officer 505 HUNTMAR PARK DR, SUITE 300, HERNDON VA 20170